AUDITING AND ASSURANCE CHALLENGES IN THE CONTEXT OF CRYPTO CURRENCY: A STUDY OF EMERGING RISKS AND OPPORTUNITIES
Ibrahim Abubakar, PhD and Dahiru Abdulmumin
Volume 11 Issue 6
Abstract
Crypto currency has rapidly transformed the financial landscape, offering decentralized systems and unique transactional capabilities. However, this innovation comes with significant auditing and assurance challenges. The objective of this study is to investigate the auditing and assurance challenges and opportunities in the context of crypto currencies, focusing on how decentralized block chain technology affects audit practices. Employing a quantitative research design, primary data were collected through surveys administered to 270 auditors, regulators, and block chain experts. The data were analyzed using descriptive statistics, and tested for significance using chi-square tests. Findings reveal a strong consensus on challenges such as regulatory disparities, interoperability, and the need for block chain-specific auditing tools, with significant chi-square values indicating these issues are well recognized. However, mixed responses on audit quality and cost efficiency suggest some areas of debate and evolving understanding among professionals. The study recommends that regulatory bodies and auditing firms prioritize the development of specialized auditing standards for crypto currencies, enhance auditor training in block chain analytics, and promote international regulatory alignment. These measures are critical for addressing the unique complexities of auditing crypto currencies and for ensuring the reliability, transparency, and credibility of digital asset financial reporting. Keywords: Crypto currency, Auditing Challenges, Assurance Practices, Regulatory Frameworks, Technology in Auditing
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